Week 1

Technology and Communications Team
Log # 1
By Andrew Chan

I am so glad to have the opportunity to participate in the GLOBE program. In the first two classes, I have learned much more about the history, roots and implementations of microfinance. The Two Cups of Tea presentation was a truly inspiring event. After the event, I felt more aware and informed of what is going around in the world. I was inspired how even children can make a difference. This was a motivating factor for me to get more involved and a catalyst to put my best effort in this course. The readings that were assigned have been very interesting. I particularly liked The Economics of Microfinance by Beatriz Armendariz. As an economics major, I have been studying economic theory. This background helped me understand how the concept of microfinance operates in theory. The other readings especially Banker to the Poor, by Muhammad Yunus, let me see poverty in a different perspective and how methods were initiated to alleviate it.

As part of the Technology and Communications Team, I am excited to work with my team members to make sure our websites are well maintained and that we can establish efficient and timely communications with the Daughters of Charity, our clients, and our donors. I hope that we can improve the website, make it more informative and spread awareness about our program. I can’t wait to meet with the Fall 2009 managers to discuss our objectives and strategies with them and to get their feedback. I welcome the challenges and tasks up ahead and hope we can make this semester another success!

Marketing and Fundraising Team

Log #1
By AJ Magali

The course of events that have led me to join GLOBE is something of a personal story. I was born and spent the first ten years of my life in the Philippines. The country is a Third World Nation, one mired by corruption and poverty. I had a naïve, innocent understanding of poverty and what it means to be truly poor. During the break before the semester, I returned to the country where I was born for the first time in thirteen years. What transpired was somewhat eye-popping and it awoke me to a new view of how to see destitution. I saw beggars in ragged clothes, there were people living in shantytowns with houses that could barely survive the rain, and worse I heard reports of people drowning when a typhoon hit the country a few months before my visit.

When I arrived into the D’Angelo Center for the first GLOBE class, I entered with a single-minded purpose of figuring out how to use microloans and microfinance to better arm the people of the Philippines with the understanding that they could start their own businesses to better their lives. I was dead set in making a difference in people’s lives.
Yet, when I arrived into the classroom, I was shocked with the back- stories that brought the students together to collectively serve a purpose. I was not the only person that had an emotional tie into the group. Everybody did. Everyone in the class had a deep understanding on the ideals that were built from Muhammad Yunus’ mission. Each member seemed like they were willing and primed to make sure that they could make a difference.

And with that said, I’m quite excited in this upcoming semester because I feel like the group assembled will be up to task in making sure that we further the cause that the past GLOBE classes have started. Their seed, we will sow. And what makes this class and this group so great is that this is not a one-man effort. It’s a team effort. And we’re about ready to make our impact.

Finance and Risk Assessment Team

Log #1
By Minela Feratovic

I am honored to be part of GLOBE, a program that utilizes the concept of microfinance. I have heard nothing but good things about the program from my peers. I am prepared to expand on the success of this very program.

Microfinance is a revolutionary approach to benefit low-income women and men. This economic development is an excellent move toward alleviating poverty.  It is not charity because the loan recipients are learning how to work their way out of poverty.  These entrepreneurs have capabilities that they can use to successfully accomplish the needs of their business.  Most of the entrepreneurs are women because they are more likely than men to use the money they make to help their household. The Grameen Bank, founded by Muhammad Yunus, is a prime example of how small loans help the poor. Yunus is an inspiration. His microfinance initiative proved that the poor are bankable.

In the last class we started to get down to business. We were shown a video of a woman who received a loan that helped her tremendously. It motivated me because I know that this program has the power to change someone’s life for the better. A history lesson followed the video. I learned that microfinance is not a recent development. It’s been in existence for quite some time. Only recently has microfinance generated a great deal of interest. The microfinance approach is undeniably working and I am more than ready to jump on the bandwagon.
I am thrilled to be on Finance and Risk assessment team.  My team will play a critical role in the entrepreneurs’ fight against poverty. As a group we hold the decision to approve or deny loan requests. This will prove to be a daunting task because we are the ultimate decision-makers that help pave the way the applicant escapes from poverty. As a group we prioritized our critical tasks.  Developing measures of the project’s success and evaluating the progress is one of our top priorities.  Even though we prioritized the tasks we were given, we understand how important it is for us accomplish each task with all of our efforts.  My team will face challenges throughout this semester but we are ready to do whatever we can to tackle them.

It’s early into the semester and I am extremely excited about the progress the Spring 2010 is making. Every microloan manager in the class is eager to make a long lasting impact. We have a strong group dynamic that will undoubtedly make the program better than it already is. I am enthusiastic about the program’s future.

Accounting and Program Audit Team
Log #1
By Gabriela Papadopulos

It has been only two weeks since the first meeting of The GLOBE Microloan Program but for this short period of time we have established a strong entity, I would name it a family sharing one ultimate goal: to reach out to the poor and give them a chance  to survive, grow their potentials and engage in constructive activities . Being aware of existing inequalities, I remain struck by the fact that half of the world population lives on $2 per day and 1 billion live on less than a dollar. It is painful to admit that poverty is of such a great scale, and therefore it is my obligation as part of the program and as a member of the accounting team to facilitate the shift of funds from those who have them in excess to those who are in need.

Microfinance focuses on what formal financial institutions seem to omit, i.e. the vast majority of people who are stamped as deprived of credit reliability due to insufficient income or lack of any collateral to guarantee the repayment of their loans. Isn’t it paradoxical, however, that impoverished people who are typically disqualified by banks, display a 98 % rate of loan recovery, which significantly reduces the default risk for lenders. A possible reason for this is their higher working ethics and motivation to justify the chance they have been given.

We should also not forgo the importance of microfinance to women who appear to have the best credit ratings. The impact of miniscule loans on their lives goes much further than the reach of our imagination. The ability to control their own income and manage their funds transgresses the oppression of female rights and empowers them as individuals, mothers, wives and members of their societies. Being able to develop small business enterprises and provide for their children’s education and healthcare is what marks a significant improvement in the quality of life of their families. I could closely relate females and their trustworthiness as potential borrowers to an article written by Nicholas Kristof where he claims that men in the poorest families tend to spend 20 % of their income on alcohol, cigarettes and other extravagant activities as opposed to women who would reinvest 40 % of their gains into further development of the small businesses they are running.

If anything, one thing is certain- there is a long list of goals down the road for us to achieve. However, there is nothing more rewarding than being part of a program that prepares households and individuals to join the mainstream of economic and social development.